South Carolina sales tax for contractors

State sales tax rate

6% state; counties may add 1% local option; no scheduled change seen

Source: https://dor.sc.gov/sales-use-tax-index/sales-tax. Last verified 2026-11-02.

How contractors are taxed

contractor is user/consumer of everything it buys; materials taxed at purchase; retailer-vs-contractor determined by facts (showroom, license, bidding); retailer that installs may state installation labor separately (not taxed); lump-sum/T&M not addressed; no special contractor tax

Source: https://dor.sc.gov/resources-site/lawandpolicy/Documents/Chapter%2016%20-%20Construction%20Contractors.pdf. Last verified 2026-11-02.

Filing and due dates

monthly by default, due 20th of following month; quarterly (Apr/Jul/Oct/Jan 20) or annual (Jan 20) only with SCDOR approval; e-file and pay required if liability $15,000+ per period; Form ST-3 (+ Schedule ST-389 local); portal MyDORWAY

Source: https://dor.sc.gov/sales-use-tax-index/sales-tax. Last verified 2026-11-02.

Certificates and forms

ST-8 single-sale exemption (machine exemption), ST-405 ($500 cap light construction equipment), ST-10-C/ST-585 (local option tax contract exemption), ST-389; resale certificate (no form no. given)

Source: https://dor.sc.gov/resources-site/lawandpolicy/Documents/Chapter%2016%20-%20Construction%20Contractors.pdf. Last verified 2026-11-02.

New-employer unemployment tax

2026 new employer 1.060% (1.000% base + 0.060% DACA, class 30); wage base $14,000; 2027 not on page

Source: https://www.dew.sc.gov/employers/tax-rate-information. Last verified 2026-11-02.

What this page does not cover

Local taxes, special districts, and any detail we could not confirm on an official page are left out on purpose. Confirm current rates, forms and due dates with the state agency and your CPA.

How BossHours helps

BossHours keeps your quotes, invoices and job records in one place so your accountant has what they need at filing time. It does not give tax or legal advice.